Get Guardian on GooglePresident Bola Tinubu has launched the Minimum Pension Guarantee Scheme, ending a 22-year delay in its implementation, and challenged Nigerians to assess his administration by its pension reforms record and welfare of retired workers, rather than by political promises.
Tinubu, represented by Senate President Godswill Akpabio at the official launch of the scheme at the State House, Abuja, said his administration had moved beyond rhetoric to establish a statutory safety net for Nigerian workers.
He assured subscribers to the Contributory Pension Scheme (CPS) that they would not fall below a guaranteed minimum income in retirement.
This comes as retired police officers under the Contributory Pension Scheme (CPS) occupied the National Pension Commission (PenCom) headquarters in Abuja yesterday, threatening to renew their demand for complete withdrawal from the scheme if the federal government fails to implement an agreed alternative pension arrangement.
The president also unveiled PensionCare, a pension industry-funded healthcare initiative designed to provide low-income retirees with access to essential medical services at no cost.
He described the twin initiatives as major milestones in the country’s social protection system, insisting that workers who had spent decades serving the nation deserved financial security and access to healthcare after retirement.
He disclosed that, in accordance with the Pension Reform Act, the Minimum Pension Guarantee Scheme, which takes effect immediately, would be administered by the National Pension Commission (PenCom).
Nevertheless, he lamented that, although the guarantee was provided under Section 71 of the Pension Reform Act, 2004, and reinforced by Sections 82 and 84 of the 2014 Act, successive administrations had failed to implement it for over two decades.
He assured contributors that the new arrangement would provide a minimum income threshold below which eligible retirees would not be allowed to fall “because it is your right.”
He also called on future administrations to sustain the policy, describing the guarantee as a binding social contract between the Nigerian state and its workers.
On the healthcare component, President Tinubu said PensionCare was designed to address one of the greatest challenges confronting retirees, particularly the burden of medical expenses in old age.
He explained that the initiative would provide low-income pensioners with essential healthcare services without charge, adding that the first cards would be distributed to beneficiaries in the coming months.
Tinubu said his administration had also taken decisive steps to settle outstanding pension obligations, issuing a N758 billion bond to clear long-standing arrears.
He further said the government approved a consequential adjustment of N32,000 monthly for federal pensioners whose earnings were below the national minimum wage, bringing their pensions to that level or above.
According to him, legacy pensioners under the Nigeria Social Insurance Trust Fund, who previously received as little as N18,000 monthly, now collect N206,000. Moreover, pension enhancements have also been delivered under the Contributory Pension Scheme, which he described as unprecedented in the country’s history.
The president also listed his administration’s other interventions, including the Nigerian Education Loan Fund (NELFUND), the National Credit Guarantee Company, and the Nigerian Consumer Credit Corporation (CREDICORP).
He explained that these initiatives were designed to expand access to education and affordable credit, particularly for young people, women, small business operators and Nigerians previously excluded from formal financial services.
Meanwhile, Tinubu criticised the opposition’s calls for the restoration of petrol subsidy, warning that reversing the policy would deprive states of additional revenues and undermine ongoing infrastructure and pension interventions.
Meanwhile, the retirees, who began their protest on November 1, said they would remain at the commission’s premises until the government takes concrete steps to implement Option B and commence payment of their entitlements.
Their protest comes amid growing frustration over what they described as 16 years of agitation, negotiations and unfulfilled government promises concerning their retirement benefits.
National Coordinator of the Union of Retired Police Officers under the scheme, CSP Mannir Zaria (rtd), said the officers had initially insisted on total withdrawal from the contributory pension scheme.
In a fresh statement, however, the National Secretary, ASP Elnathan Jared (rtd), the 36 state chairmen, and the FCT chairman demanded the immediate implementation of Option B, including the agreed-upon debarment allowances.
